Apple CEO Steve Jobs yesterday finally admitted that his health problems were severe enough for him to take a medical leave of absence.
The shocking revelation came just 10 days after Jobs dismissed the latest worries about his health by announcing that he had a hormonal imbalance that required a “relatively simple” treatment, which prevented Jobs from presenting at Macworld.
In a letter sent to employees, Jobs said, “During the past week I have learned that my health-related issues are more complex than I originally thought.” He said he expected to return to work at the end of June.
According to a source who does consulting work for Apple, “People in the company think he’s very ill and there’s a general sense that he’s not getting better.”
Sources suggested that Jobs is not being forthcoming about the severity of his condition, with one Disney insider saying that he was too ill to attend a meeting in late December – which would predate the Jan. 5 letter he wrote to his staff.
Added a source who serves on a board with Jobs: “He has a really big problem and he doesn’t know how to deal with it.”
Yesterday’s news infuriated investors, some of whom are considering legal action given the way Jobs downplayed his health problems earlier this month.
“It’s a total cover up,” said one investor who asked to remain anonymous. “I bought a ton of stock last week after hearing that Jobs was getting better.”
Exact details of Jobs’ health have been hard to come by. In 2004, it took Apple nine months to announce that Jobs had been diagnosed with pancreatic cancer.
More recently, when Jobs made an appearance at a trade show in June, observers were shocked to see the CEO looked considerably thinner than he did in January at the annual Macworld conference. At the time, the company said Jobs’ gaunt frame was the result of a “common bug.”
But after The Post’s report in July revealed that some Apple investors were fretting that perhaps Jobs’ cancer had returned, the company said his health was “a private matter.”
Later, when speculation didn’t die down, the company blamed Jobs’ weight loss on nutritional problems resulting from a strict diet.
“We certainly feel a bit whiplashed by the abrupt change in the news,” said Oppenheimer & Co. analyst Yair Reiner. “Apple’s board and legal counsel has been lax in its oversight and could have checked the facts better and had a higher degree of certainty with its information.”
Jeffrey Sonnenfeld, associate dean of the Yale School of Management, was less diplomatic in his view of Apple’s board.
“Investors need an objective medical opinion,” Sonnenfeld said. “The last four announcements prove they can’t rely on Apple’s board. The board put up a smokescreen, then added more smoke, and now they are doing a vanishing act.”
With the board’s full support, Tim Cook, Apple’s chief operating officer, will take over the company’s day-to-day operations in Jobs’ absence.
Apple shares closed trading yesterday at $85.33, but dropped more than $5 in after-hours trading on news that Jobs’ health had taken a turn for the worse.